Enova International, Inc. Q1 FY2026 earnings call

Steve noted strong originations growth and solid credit drove outstanding results, highlighting the balanced growth strategy, technology use, and experienced team. Scott discussed financial results, credit performance (net charge-off ratio, delinquency rates), expenses (marketing, operations/technology, G&A), balance sheet strength, and stock repurchases. Also, mention of the combination with Grasshopper Bank, progress in integration planning, and expected synergies.

First quarter originations increased 33% year over year to nearly $2.3 billion. The portfolio increased 28% year-over-year to nearly $5.3 billion, with small business products representing 70% of the portfolio and consumer products 30%. Revenue increased 17% year-over-year to a record $875 million. SMB revenue increased 37% year-over-year to $418 million, and consumer revenue increased 3% year-over-year to $446 million. The consolidated net charge-off ratio for the first quarter fell to 7.6%, the lowest consolidated quarterly net charge-off rate since the second quarter of 2023.

For Q2 2026, total company revenue expected 15%-20% higher year over year, net revenue margin 55%-60%. Full-year 2026 expects originations growth ~20%, adjusted EPS growth at least 25%. Grasshopper acquisition expected to close in H2 2026, with net synergies driving adjusted EPS accretion >25% in first two years post-closing.

Forward-looking statements subject to risks, non-GAAP measures, macroeconomic factors like energy price spikes, geopolitical issues, and regulatory approvals for Grasshopper acquisition.

Q: Moshe Orenbuck asked about origination mix, marketing costs, and growth outlook.

A: Steve discussed SMB growth consistency, consumer growth reacceleration, and efficient marketing.

Q: David Scharf asked about unit economics of consumer and SMB.

A: Steve said unit economics are agnostic to mix, similar ROA across portfolios.

Q: Vincent Caintick asked about origination volume, marketing, funding, and Grasshopper acquisition.

A: Answered on origination growth drivers, funding access, and Grasshopper acquisition progress.